2024 Web3 Predictions: ETF Approvals, Market Cap Surge, New ATH
As we enter the new year, it's time to make some predictions for what's to come in 2024. While it's impossible to know exactly what will happen, we can make educated guesses based on industry insights and trends. In this article, we will explore some predictions for the crypto and web3 space in the coming year.
ETF Approvals and Filings
One prediction for 2024 is the approval of Bitcoin (BTC) and Ethereum (ETH) spot ETFs in the United States.
This approval would open up the crypto market to a wider range of investors and potentially drive up the prices of both BTC and ETH. Additionally, it is predicted that a Solana (SOL) spot ETF will be filed, although it may not see approval just yet.
Coinbase Market Cap Surge
Another prediction is that Coinbase (COIN), a leading crypto exchange, will reach new all-time highs in terms of market cap.
It is speculated that COIN could exceed a $100 billion market cap, which would catch Wall Street by surprise and have a positive impact on the entire crypto market.
Crypto Hits New All-Time Highs
In 2024, it is predicted that BTC, ETH, and SOL will reach new all-time highs. The expected price targets are BTC > $69,000, ETH > $4,900, and SOL > $260. These new highs would signal continued growth and adoption in the crypto market.
Solana's User Base Explosion
Solana, a popular blockchain platform, is expected to experience a significant increase in its daily active users (DAU).
It is predicted that Solana will become the number one chain, surpassing Binance Smart Chain (BNB), with over 10 million DAU. This growth would represent a 17x increase from current levels and highlight Solana's potential as a leading blockchain platform.
Layer 2 Total Value Locked (TVL) Growth
Layer 2 solutions, which aim to improve scalability and reduce fees on blockchain networks, are expected to see significant growth in TVL.
It is predicted that Layer 2's TVL will surpass $100 billion, a 5.07x increase from the current $19.7 billion TVL. This growth would demonstrate the increasing demand for scalable and cost-effective blockchain solutions.
No Gas Fee L2s and Applications
Gas fees, which can be a barrier to entry for many users, are predicted to become a thing of the past for applications and entire Layer 2 solutions in 2024.
With the launch of EIP 4844 on Ethereum, it will be more feasible to have applications and L2s with no gas fees. Projects like Immutable and Polygon ZKEVM are already paving the way for this new era of no gas fee transactions.
Web3 Gaming Popularity + Immutable Supremacy
Web3 gaming is expected to gain even more popularity in 2024, with three games predicted to surpass 5 million monthly active users.
The Immutable platform is expected to emerge as the top Layer 2 solution for web3 gaming, attracting a large user base and facilitating a high volume of transactions.
Corporate Ventures into Layer 2
It is predicted that two publicly traded companies will launch their own Layer 2 solutions in 2024, signaling the growing interest and adoption of Layer 2 technology beyond the initiatives of Coinbase.
NFT Market Growth
The NFT market is expected to continue its growth in 2024, with weekly NFT volumes surpassing previous records of $3.2 billion from 2021. Currently, weekly NFT volumes across all chains are $207 million, indicating significant potential for further growth and adoption.
Stablecoin Market Cap Expansion
The market cap of stablecoins, which are cryptocurrencies pegged to fiat currencies, is expected to exceed $250 billion in 2024.
This represents almost a 2x increase from its current value of $129.9 billion and a 25% increase from the previous all-time high in April 2022. The expansion of the stablecoin market cap highlights the growing demand for stable and reliable digital assets.
Rise of KYC Applications
In 2024, there is expected to be a significant shift towards Know Your Customer (KYC) applications and KYC liquidity in the crypto market.
This shift will provide more transparency and compliance measures, gaining traction among both traditional financial institutions and crypto enthusiasts. However, this development may confuse some in the crypto community, leading to mixed reactions.
